MIS – Automobile Sector

Shruti K (168)
Snehal K(175)
Vaibhaw M (197)
Ashish J (207)
Sharmistha B(208)
Ayush J(210)
 Growing…
Year Manufactured • China had around 25
2008 52,940,559 cars/1000 people in
2007 54,920,317 2006 2006 and 128 in 2008
49,886,549 2005 • US has 746
46,862,978 2004 • The auto industry has a
44,554,268 2003
lot of growth potential
41,968,666 2002
41,358,394 2001 • This can only go up
39,825,888 2000 with revolutions like
41,215,653 1999 the Nano
39,759,847 • India is at 12  2
 India Shining 
• India is projected to have the largest number of cars
in the world -- 611 million to be precise -- by 2050.
According to the third BRIC report from investment
banking firm Goldman Sachs, this means every sixth
car produced in the world will be sold in India.
• The third BRIC report says passenger car density in
India will continue to be a third of China's until 2025.
India will overtake its neighbor somewhere in the
vicinity of 2050, when the country will have 382 cars
per thousand people compared with China's 363 in
that year. 3
 What is an MIS?
A computer system for an organization
• which collects and analyzes data from all
departments
• provides an organization's
management/staff with up-to-date
information (such as financial reports,
inventory, etc.) at any time.

4
 In support of
• Kaizen: Continuous improvement requires
immediate spread of information
• Pull system: Immediate data transfer from
dealer
• Agile Response: Thanks to IT again!!!
• Fleet: Real Time Information
• Customer Service(building databases)
• Supplier Integration (eg: vendor park) 5
 In the Automobile industry
Process Service
• Manufacturing • Fleet Management
• Pull from Dealers – Rental Services
– Public Transport Systems
– Even Rails
• Customer Service
• E-Procurement

6
PROCESS

7
 Manufacturing/Automation
• IT can become a very powerful tool – even a
strategic one
• It’s a competitive, demanding and
unpredictable world
• Henry Ford’s assembly line
• Toyota’s Lean Manufacturing
• Some parts of high end Ferrari’s are still hand
made – make few hundred a year
• Very High precision and Mass production 8
 Supply Chain Mgt
SCM
Integrating mgt & IT to optimize information & product flows among
the processes & business partners within a supply chain.
Supply Chain
The network of business processes & inter-relationships among
business that are needed to build, sell, & deliver a product to its final
customer.
A successful SCM strategy is base on accurate order processing,
just-in-time Inventory mgt, & timely order fulfillment.
Goal of SCM
• Fast, efficient, & low-cost network of business relationships
• Concept of market
• Add value
Objective of SCM
• To reduce costs
• Increase efficiency & improve supply chain cycle times
• Effective distribution
• Channel networks among business partners
9
 SCM life cycle
commit schedule make deliver

Main Goal of SCM

Business Value Goals Customer Value Goals

Rapid demand fulfillment Give customer what they want

Collaborative supply chain When & how they want it
Planning & execution At the lowest cost

Inter-enterprise Effective
Co-ordination of Responsiveness &
Mgt & business Accountability
Distribution To
processes & customers
Channel
partnership 10
 A Typical Automobile Setup
Suppliers

E SCM P
M Knowle Sourcing & Procurement A
P dge Partners R
L Mgt
ERP Relation T
O Collabor ship N
Internal business processes
ation Mgt E
Y
& R
E Decision CRM s
E support Marketing, sales & service
s
Customers 11
 Toyota as an Example
• Uses an IS called Vehicle Order Management System
(VOMS) to support its processes
– VOMS is built around Oracle E-Business Suite software

12
 Toyota as an Example
• Order process supported by VOMS:
1. Customer selects a car & options (tinted glass,
navigation system, etc.)
2. Dealer uses VOMS to configure a car with the
selected options
3. Dealer uses VOMS to locate the car in Toyota’s
supply chain
4. Dealer uses VOMS to place the order
5. Car shipped and invoiced, triggering all related
accounting processes
6. VOMS can be used to monitor an order

13
 Conceptual View
Toyota Factory Toyota Factory

Toyota Factory
Toyota Factory

Toyota Europe
Headquarters
SI
SI
VOMS Car Dealership
SI
SI
Oracle Deale
SI r
SI E-Business
Suite Customer

Other Toyota Information 14

Systems
VOMS: Vehicle Order Management System
 It is not just about Technology

• Toyota’s processes and IS promote agility,

efficiency & quality
• Technology alone (VOMS, Oracle E-
Business suite) would not have provided a
solution
• IS=Management+Organization+Technology

15
 The MOT Framework
1

•
Very tough competition
2
•
Analyze market trends
•
Demanding customers
•
Monitor quality,
efficiency, and costs

5
6
3
•
Redesign order and
production processes

4 •
Build cars to order •
Reduce costs
•
Deploy Oracle E-Business •
Forecast demand and •
increase revenue
Suite software production requirements •
improve customer
Integrate software with more accurately
•
service
internal and 3rd party
systems 16
SERVICES

17
 Customer Relationship Mgt [CRM]
Across-functional e-business application that integrates & automates
many customer serving processes in sales, direct-marketing,
accounting & order mgt & customer service & support, retain
loyal customers.

Goal of CRM
To understand & anticipate the needs of current & potential customers
to increase retention & loyalty while optimizing the way that products
& services are sold.

Benefits to Organization
• Improve customer satisfaction
• Increase customer retention
• Reduced operating costs
• Automate & integrate the function of marketing
• Data about customer contact of a company CRM system 18
Customer life cycle
Acquire Enhance Retain

Application of CRM

Marketing
&
Fulfillment
Sales E-mail
Fax Customer
Prospects service
Or &
customers support
Telephone Web

Contact Retention
& &
A/C mgt Loyalty
programs 19
Fleet Management Systems
 FMS
Uses Google maps and applications to:
• Improve response time with Nearest
Vehicle Locator
• Alert you when drivers speed – a HUGE
source of wasted fuel
• Provide reliable measurements to reward
productive employees
• Encourage safe driving techniques
21
 Applications
• Can monitor time spent at a job for
accurate billing
• Reduce excessive overtime and paperwork
with automated time sheets
• Eliminate unauthorized vehicle use
• Monitor excessive idle times
• Increase route efficiencies with live
tracking and mapping
22
 ViMS
Vehicle Information Management System
- IT tool to manage vehicle fleets in an
existing decentralized or centralized vehicle
inspection program, or as an extension to a
vehicle safety or exhaust emission inspection.
- Can be used for a gamut of services
involving quality assurance, data
communications and management,
diagnostic and repair training for technicians 23
 Improve the service level to
the customers

• Details of the customers

Name , Address, Mobile Number, Email-lD.
Convenient time to contact the customer.
Time they can bring the vehicle for servicing
• Details of the Vehicle
Type , Number, Model
Last service
When the next service has to be done
Requirements for the next service 24
 ViMS
- Allows for the real-time, bi-directional
exchange of motor vehicle registration,
inspection and repair information.

25
 Experience certainty…
The formula one racing car is the most
complex and advanced car in the world,
packing research in aerodynamics, engine
technology, brakes, tyres and modeling. It has
more in common with a jet plane than it does
with a high performance car. Tata Consultancy
Services (TCS) works with Scuderia Ferrari
before, during and in-between races to help
their cars go even faster.
26
27